Taiwan Bonds Decline on Higher Auction Yields; Currency Is Little Changed

(Bloomberg) -- Taiwan's 10-year government bonds
fell after the yield at a debt auction yesterday was higher than
expected. The currency was little changed.

The Ministry of Finance sold yesterday NT$20 billion ($609
million) of five-year bonds at a yield of 2.53, higher than
2.5172 percent in pre-auction trading, and less than 1 basis
point below the 2.538 percent yield for 10-year debt yesterday.


Read more at Bloomberg Bonds News

European Bonds Gain for First Day in Three; Yield Falls to 4.54 Percent

(Bloomberg) -- European 10-year government bonds
advanced for the first day in three in London.

The yield on the 10-year bund fell 3 basis points to 4.54
percent by 7:05 a.m. in London, the lowest since June 27. The
yield fell 8 basis points last week.


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Taiwanese Government Bonds Climb as Intervention Stopped; Currency Rises

(Bloomberg) -- Taiwan's 10-year government bonds
climbed, pushing the yield to a two-week low, on speculation the
central bank stopped buying its own currency, leaving banks with
more spare cash to buy debt. The Taiwanese dollar rose the most
in almost six months.

The interest rate for overnight loans between lenders was
set for the lowest close in more than two weeks after the
central bank refrained from buying the local dollar in the
foreign-exchange market this month, said Ernest Lee, a Taipei-
based bond trader at Mega Securities Co. Lower money-market
rates make it cheaper for investors to borrow for bond purchases.


Read more at Bloomberg Bonds News

Japan's Bonds Drop for Fourth Week on Outlook for Stronger Growth, Prices

(Bloomberg) -- Japan's 10-year government bonds
fell for a fourth week, the longest losing streak since October,
as global debt markets slid on the outlook inflation will
accelerate.

The difference in yield between two- and 10-year bonds
widened yesterday to the biggest gap since February after a
slump in Treasuries pushed U.S. yields close to a five-year high.
Japan's bonds also dropped after a government report earlier
this week showed the economy grew faster than initially
estimated, led by consumer spending and stronger-than-expected
business investment.


Read more at Bloomberg Bonds News